Legg Mason shuts Western Asset absolute return fund

Follows withdrawal of majority stakeholder

Legg Mason has closed its Western Asset Global Credit Absolute Return fund after a 78% stakeholder withdrew their holdings.

Following the client withdrawal of $21m on 21 March, the fund's assets under management dropped to $4.2m. A spokesperson for Legg Mason said its investment team considered the fund non-viable following the departure, and has decided to sell all its holdings. The liquidation of the fund, managed by Western Asset Management, will be effective from 29 April. The fund was launched in March 2013, and over the last three years has lost investors 3.7% versus the IA Targeted Absolute Return sector average return of 3%, according to FE. Earlier this week, Legg Mason agreed to offer 7,000...